Wow, two crappy business models with no profits will merge into one bigger crappy business model with no profits. But think of the money they'll be saving!
Kinda reminds me of the AOL-Time-Warner merger. Or when Daimler met Chrysler. Or when Disney met Pixar. Oh, wait, that last one doesn't count because they were actually making profits.
Here's a harbinger. Sirius announced today, for about the umpteenth time, that they're bringing satellite radio to Hawaii. They have an opportunity to reach all over the Pacific, Asian Rim, & Australia with satellite coverage that could be sold to many many different niche markets.
Only one problem. Know how they're implementing this satellite radio? Not with a satellite but through a local ground station and an FCC waiver. Whoops.
http://starbulletin.com/2007/02/20/news/story02.html
I'm sure they can afford to put a new satellite into orbit for such a big & profitable market. Maybe they're just waiting for Lockheed's latest satellite upgrade. Yeah, that's it. And they'll be buying it with all the proactive synergies that they leverage from this innovative merger.
Just as soon as they figure out the "rightsizing"...
I've touched a lot of questionable stocks in my time but I've never been able to figure out whether to buy either of these two, let alone short them. Still can't.